On the Statement of Cash Flows of a Healthy Company

question 96

True/False

On the statement of cash flows of a healthy company, net cash from operating activities is generally less than net income.

---

Definitions:

Strip Mines

Large, open-pit mines where layers of soil and rock are removed to access underlying minerals.

Underground Machines

No definitive context, but likely refers to equipment used for underground operations such as mining or tunnel construction.

Oil Shale

A fine-grained sedimentary rock containing organic materials that can be processed to produce shale oil, a type of unconventional oil.

Rocky Mountains

A major mountain range in western North America, extending from Canada through the United States.